DOING BUSINESS 2016 RANK

DISTANCE TO FRONTIER SCORE

The distance to frontier score shows how far on average an economy is at a point in time from the best performance achieved by any economy on each Doing Business indicator since 2005 or the third year in which data for the indicator were collected. The measure is normalized to range between 0 and 100, with 100 representing the frontier. Read more...

DISTANCE TO FRONTIER SCORE

The distance to frontier score shows how far on average an economy is at a point in time from the best performance achieved by any economy on each Doing Business indicator since 2005 or the third year in which data for the indicator were collected. The measure is normalized to range between 0 and 100, with 100 representing the frontier. Read more...

DISTANCE TO FRONTIER SCORE

The distance to frontier score shows how far on average an economy is at a point in time from the best performance achieved by any economy on each Doing Business indicator since 2005 or the third year in which data for the indicator were collected. The measure is normalized to range between 0 and 100, with 100 representing the frontier. Read more...

Starting a Business

The steps of launching a business are shown below. Included are: the number of procedures entrepreneurs can expect to go through to start up and formally operate an industrial or commercial business, as well as the time and cost to complete these procedures and the paid-in minimum capital requirement as a percentage of gross national income (GNI) per capita.

DISTANCE TO FRONTIER SCORE

The distance to frontier score shows how far on average an economy is at a point in time from the best performance achieved by any economy on each Doing Business indicator since 2005 or the third year in which data for the indicator were collected. The measure is normalized to range between 0 and 100, with 100 representing the frontier. Read more...

Procedure – Men (number)

The total number of procedures required for married men to register a firm. A procedure is defined as any interaction of the company founders with external parties (for example, government agencies, lawyers, auditors or notaries).

Time – Men (days)

The total number of days required for married men to register a firm. The measure captures the median duration that incorporation lawyers indicate is necessary to complete a procedure with minimum follow-up with government agencies and no extra payments.

Procedure – Women (number)

The total number of procedures required for married women to register a firm. A procedure is defined as any interaction of the company founders with external parties (for example, government agencies, lawyers, auditors or notaries).

Time – Women (days)

The total number of days required for married women to register a firm. The measure captures the median duration that incorporation lawyers indicate is necessary to complete a procedure with minimum follow-up with government agencies and no extra payments.

Paid-in min. capital (% of income per capita)

The amount that the entrepreneur needs to deposit in a bank or with a notary before registration and up to 3 months following incorporation and is recorded as a percentage of the economy’s income per capita.

The applicant can obtain the authorization of using the company name online at www.tuempresa.gob.mx. After the registration in the website, the entrepreneur provides the company name it wishes to use. The Secretariat of Economy will first check its availability and then proceed if it complies with the legal framework. The authorization is issued via email and is valid for 2 days.

2 days

no charge

2

Notary prepares the deed and parties sign it at the notary public

Agency: Public Notary

This procedure consists in the formalization of the company’s charter by the notary. Upon receipt of authorization regarding the company name, the notary proceeds to notify of the use of the corporate name and drafts the articles of incorporation in order to be duly signed by the partners. The founding partners must provide their general personal information and present their official identifications and their Tax IDs.In order to publicize the act of incorporation, companies registered must file the deed of incorporation with the Public Registry of commerceThe notary public is in charge of making the registration of the articles of incorporation at the Public Registry of Commerce whether in person or through remote electronic means. The following documents are required: (i) a duly notarized articles of incorporation (+ a copy) and (ii) a document certifying age above 18 years old.

It usually takes the notary 2-3 days for the notary to review the documents and process the final incorporation deed for execution by the relevant parties.

2 days on average

MXN 10,500 (notary fees) + MXN 15,950 (registration fees)

3

File the deed of incorporation with the Public Registry of Commerce

Agency: Public Registry of Commerce

In order to publicize the act of incorporation, companies registered must file the deed of incorporation with the Public Registry of commerceThe notary public is in charge of making the registration of the articles of incorporation at the Public Registry of Commerce whether in person or through remote electronic means. The following documents are required: (i) a duly notarized articles of incorporation (+ a copy) and (ii) a document certifying age above 18 years old. Once the fees are paid the information is uploaded into the Siger system (http://www.siger.gob.mx) the pre-coded forms are filled out with information included in the articles of incorporation, then they are sent to the Public Registry of Commerce and enrollment takes place immediately.

Half a day (online procedure)

Included in procedure 2

4

Obtain Tax Registry Number (RFC) at the the Sistema de Administración Tributaria, SAT

Agency: Sistema de Administración Tributaria, SAT

The company must obtain a tax ID number (Registro Federal de Contribuyentes "RFC") at the Ministry of Finance and Credit, Secretaría de Hacienda y Crédito Público. Notaries are able do obtain it via the online portal (http://www.rfc-sat.com.mx/). He/she submits the information on the company and retrieves the RFC and the Tax Identification Card in pdf format.

The entrepreneur can also obtain the RFC but needs to go in person to the service center to obtain an electronic signature.

Half a day (online procedure) , 2 days if done by the entrepreneur

No charge

5

Register with the Mexican Social Security Institute (IMSS)

Agency: Mexican Social Security Institute (IMSS)

This is a federal procedure that is performed to enroll at least one worker in Social Security. Information is available in person, by phone and on the agency’s website: http://www.imss.gob.mx/ The employer must file AFIL02 format. The application may be pre-submitted online and then visit the agency’s office where the entrepreneur will obtain his registry May be performed pre-internet high and then go to the IMSS administrative sub-delegation where the employer and the record high for at least one worker is obtained. The process is regulated by the Social Security Act and the Regulations of the Law on Social Insurance regarding Membership, Business Classification, Collection and Taxation. At the same time the company registers with the IMSS, registration at the National Worker’s Housing Fund Institute (INFONAVIT) takes place and individual retirement savings accounts for the employees (Afore) are opened.

The company must register with the local tax administration after registering with the IMSS. The local office can be found at www.finanzas.df.gob.mx. The tax registration number and the company’s postal code are required to register.

1 day

no charge

7

Notify the local government (Delegación) online of the opening of a mercantile establishment.

Agency: Local tax administration

The notice of opening a mercantile establishment is fully completed online through the website www.sedeco.df.gob.mx. For low risk activities, the notification record is received automatically in an email.

Less than one day (online procedure)

no charge

8

Register with the National Business Information Registry (Sistema de Information Empresarial, SIEM)

Agency: Local Government Office or Delegation

Mandatory registration with the National Business Information Registry (Sistema de Information Empresarial, SIEM) has been in effect since January 1997. The company will be registered with the specific chamber corresponding to its corporate purpose or activities. The cost varies with the number of employees and the company’s activities as shown below.